Harvey Organ: Why such shorting of Comex gold and silver if there's none for delivery?

Gold and silver market analyst Harvey Organ today posts an open letter to the chairman of the U.S. Commodity Futures Trading Commission, J. Christopher Giancarlo, calling attention to the transfer to London of a huge number of gold and silver futures contracts claimed for delivery on the New York Commodities Exchange.

Organ writes that the transfers, called "exchanges for physicals," purportedly are allowed in emergencies but have become common occurrences -- so common, in fact, that more Comex gold and silver contract deliveries now appear to be made by private contract in London than in New York. This, Organ continues, indicates a shortage of monetary metals in the Comex system, and yet bullion banks seem to be shorting the metals in increasing amounts though they are not available via the Comex.

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